Russia's GDP falls for the first time in five years

Russia's GDP in November shrank for the first time since October 2009, declining by 0.5% compared to last year, according to Russia’s Ministry of Economic Development.

REUTERS

The dynamics of GDP in annual terms were adversely affected by a sharp slowdown in the manufacturing sector, Reuters reports.

Similar downward trends have continued in construction, the wholesale trade and agriculture.

Overall, in January-November 2014, Russia’s GDP grew by 0.6%.

According to the Ministry of Economic Development, GDP in November, without taking into account seasonal and calendar factors, fell by 0.2% after increasing by 0.1% in October.

"The dynamics of GDP in November were adversely affected by the manufacturing and construction sectors, commercial services and net taxes on products and import, while the mining industries, energy, gas and water production, as well as retail sales had a positive impact on economic growth," the government agency reported.

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